Separately, the lender is selling a French mortgage portfolio, which is equivalent to about US$7 billion
[NEW YORK, HONG KONG] HSBC Holdings is assessing investor interest in a portfolio of Australian mortgages as the lender pushes ahead with a global overhaul of its businesses, according to sources familiar with the matter.
London-based HSBC is discussing the sale of about A$13 billion (S$11 billion) of home loans, said the sources, who asked not to be identified because the matter is private. Terms of the transaction may change after discussions with investors, and HSBC could decide not to proceed with a deal, they said.
A representative at HSBC declined to comment.
HSBC’s new chief executive officer Georges Elhedery is undertaking a broad restructuring plan that includes winding down various businesses and slashing management ranks. The company has said that it hopes to whittle away US$3 billion in expenses in the coming years and about half of that would then be reinvested into priority growth areas.
The bank is studying options for its consumer banking business in Australia including a potential sale as part of the sweeping overhaul, Bloomberg reported in January.
Separately, the lender is selling a French mortgage portfolio, which is equivalent to about US$7 billion, according to its latest full-year earnings presentation, released in February. HSBC is offering to provide staple financing for the French deal, the sources familiar said. BLOOMBERG
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